The new iPhone Nano and Shuffle in stores by Christmas!

Yup folks, this is the latest rumor to circulate around the web.  UK based Daily Mail being the one responsible for launching it. Basically, the whole idea behind the article is that the iPhone 3G isn’t a viable solution for the pay-as-you-go market, because of its sheer price tag. Here’s a few quotes.

“The iPhone 3G has been the fastest-selling phone ever in the UK, but it is too expensive to be a realistic proposition in the pay-as-you-go market,” tells the source.

“However, a cut down version, with the candy bar shape of iPod nano music players, would be a huge hit as a Christmas gift.”

The current iPhone 3G is priced at £300 in the UK, while the alleged upcoming X-mas device will be priced at around £150. The article also cites an expert saying that the device might have a touch screen on the front and a touch wheel on the back from which to dial numbers. This of course is only a rumor, a very devious one if i may add. Oh, and the pic above is just a lameass photoshop.